B1 Opportunity Assessment
Transforming energy productivity through value chains Report at a glance
RACE for Business Program
Authors
Transforming energy productivity through value chains Final report of opportunity assessment for research theme B1
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Project Code: 20.B1.A.0129 Copyright © RACE for 2030 CRC, 2021 ISBN: 978-1-922746-03-0 November 2021
Citation Denham, T., Xing, K., Dodson, J., Pears, A., Agrawal, H., Azar, B., Hossain, J., Indrawasi, K., Katic, M., Liu, M., Rajakaruna, S., Shawon, M., Shi, L. and Susilawati, C. (2021). Transforming energy productivity through value chains. Final report of opportunity assessment for research theme B1. RACE for 2030 CRC.
Todd Denham Ke Xing Jago Dodson Alan Pears
Section authors RMIT • • •
Todd Denham Jago Dodson Alan Pears
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Connie Susilawati Karlina Indraswari
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Sumedha Rajakaruna Himanshu Agrawal Mohammad Shawon
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Jahangir Hossain Andrea Trianni Kaveh Khalilpour Bahareh Berenjforoush Azar Mile Katic
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Linda Shi Ming Liu
QUT
Curtin University
UTS
UniSA
Project partners
What is RACE for 2030? The Reliable Affordable Clean Energy for 2030 Cooperative Research Centre (RACE for 2030) is a 10-year, $350 million Australian research collaboration involving industry, research, government and other stakeholders. Its mission is to drive innovation for a secure, affordable, clean energy future. racefor2030.com.au
Report at a glance
Theme B1: Transforming energy productivity through value chains What is the report? The report is a review of existing literature and research opportunities for transforming energy productivity through value chains. It identifies opportunities to increase energy productivity across several Australian industry sectors. The report recommends research focussing on two priority clusters—food systems and shelter—and identifies several research priorities across these two clusters, including food transparency, reducing food waste, building performance transparency, and innovative materials and design. Why is it important? Australia ranks poorly among OECD nations on energy productivity. Improving energy productivity is critical to reducing Australia’s carbon emissions while enhancing employment, strengthening government finances and improving infrastructure and trade. There are large opportunities for energy, material and productivity gains across stages in supply chains, which are generally not visible to players at each stage of the process as they lack a clear view of the ultimate service delivered to the customer. Identifying the opportunities for and barriers to improving energy performance requires multi-disciplinary research that addresses business models, markets, production systems, technologies, data collection and policies, at the level of both individual industries and wider institutional structures. What did we do? The project team surveyed energy use and productivity across seven key value chains in the Australian economy: data, education, food, health, infrastructure, shelter and water. This desktop analysis included a review of value chains, market status, technologies, transformation, and energy productivity opportunities. What difference will it make? The report is a first step in a research-driven process for preparing and positioning the Australian energy market for value-chain transformation and improvements in energy productivity. What’s next? The report recommended that RACE for 2030 apply the following research agenda to the two priority clusters (food systems and shelter): • • • •
Feasibility studies (to 2023)—Testing technologies and innovative production systems to provide proof-of-concept and an evidence base for further development. Situation analysis (to 2023)—Establish a stronger evidence base and detailed understanding of the industry and its value chains, including transformation capacity. Transition studies (to 2025)—Address key barriers to implementation and industry uptake, including social, technical and regulatory impediments identified in the feasibility or situation analysis studies. Expansion and adaptation studies (to 2030 and beyond)—Facilitate the transition of industry to new and more energy-productive ways of working.
The report also reveals significant gaps in the theoretical and conceptual understanding of energy productivity and value-chain transformation of end-user services. It proposes an ongoing research and action agenda around market transformation, including developing a national plan and implementation agenda.
Transforming energy productivity through value chains
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B4 Opportunity Assessment © RACE for 2030Project title